Azimut Holding, FY 2017 results Second best FY Net Profit in the Group s history

Transcription

1 PRESS RELEASE Azimut Holding, FY 2017 results Second best FY Net Profit in the Group s history In the FY 2017: Consolidated normalized net profit (1) : 220 million (+27% vs. FY 2016) Consolidated total revenues: 811 million (+15% vs. FY 2016) In the 4Q 2017: Consolidated net profit: 59 million (+14% vs. 4Q 2016) Consolidated total revenues: 219 million (+6% vs. 4Q 2016) Total Assets: 50.4 billion (+16% vs. end 2016) Net Inflows: 6.8 billion (+4% vs. 2016) Proposed Dividend Per Share: 2.00* ( 1.00 in 2016), equivalent to a 119% Payout (2) Milan, 8 th March 2018 Azimut Holding s (AZM.IM) Board of Directors approved today the FY 2017 results ending December 31, 2017, highlighting the following: Consolidated Revenues in 2017 of million (vs million in 2016) Consolidated Operating Profit in 2017 of million (vs million in 2016) Consolidated Net Profit in 2017 of million (vs million in 2016) Normalized Net Profit (1) in 2017 of million (vs million in 2016) In 2017 Total Assets including assets under custody and third parties funds reached 50.4 billion, +16% vs. end-2016, (internally managed assets stood at 40.2 billion). Net Financial Position as of December 31, 2017 is positive for million, improving compared to the 34.8 million as of June 2017 (decreasing vs million as of December 2016). In 2017 the company paid around 133 million ordinary dividends, made acquisitions abroad for ca. 32 million and on June 30 th partly repaid the Senior Loan for an amount of 10 million. Furthermore, the NFP also includes ca. 70 million of share buybacks executed in Recruitment of financial advisors and private bankers in Italy remained positive: during 2017 Azimut and its networks recorded 94 new hires, bringing the total number of FAs to The Board shall propose to the AGM, which will be called on 24 April 2018, the distribution of a dividend per share of 2.00 (equivalent to a payout of 119% (2) ) gross of tax (vs per share in 2016). The 2.00 dividend will be paid 50% in cash and 50% in existing treasury shares. Therefore, every shareholder will receive (gross of tax), 1.00 in cash (ex-dividend date is 21 st May 2018, record date 22 nd May 2018 and payment date 23 rd May 2018), in addition to the distribution of treasury shares equal to 1 ordinary share every 18 shares held (for a total of 7,246,290 shares). The abovementioned shares (all held by the company as treasury shares) will be assigned after the ex-dividend date. Any rights to fractions of assigned shares will be paid in cash on the basis of the official price of the shares on the trading day prior to the ex dividend date without charging any expenses, fees or other costs to the shareholders. Based on the 7 th March 2018 closing price, the total dividend corresponds to ca per share. Net profit of the parent company Azimut Holding SpA in 2017 is of million, increasing vs million reported in 2016.

2 Sergio Albarelli, Azimut s CEO, commented: We are proud to present the second best Net Profit figure in the Group s history. This remarkable result has been achieved thanks to the daily efforts of all our colleagues and partners, combined with an effective cost control and a significant improvement in profitability. Given these strong results, we will propose to the AGM a dividend of 2 euro per share. This translates into the highest yield amongst FTSE MIB companies and is equivalent to a payout of more than 100%. These values are even more relevant considering they ve been achieved by an Italian growth company. * Subject to AGM approval Note (1): normalized for ca. 5.3mln of extraordinary costs related to the convertible bond buyback in the 2Q17. Note (2): Based on a normalized Net Profit of 220mln The Officer in charge of the preparation of Azimut Holding SpA accounting documents, Alessandro Zambotti (CFO), declares according to art.154bis co.2 D.lgs. 58/98, that the financial information herein included, corresponds to the records in the company s books. The attached statements are those foreseen by current regulations: income statement, balance sheet and cash flow statement. With reference to these figures, we remind that the auditors have not yet completed their activity, whereas no audit has to be carried out on reclassified income statement (Art. IA co.5 from Instruction of the Market rules by the Italian Stock Exchange). Azimut is Italy s leading independent asset manager (active since 1989). The Parent Company Azimut Holding was listed on the Italian stock exchange on 7 July 2004 (AZM.MI) and, among others, is a member of the main Italian index FTSE MIB and of the Eurostoxx 600. The shareholder structure includes over 1,700 managers, employees and financial advisors, bound by a shareholders agreement that controls over 15% of the company. The remaining is free float. The Group comprises various companies active in the sale, management and distribution of financial and insurance products, with Registered Offices in Italy, Luxembourg, Ireland, China (Hong Kong and Shanghai), Monaco, Switzerland, Taiwan, Brazil, Singapore, Mexico, Australia, Chile, USA, UAE, Iran and Turkey. In Italy, Azimut Capital Management SGR sells and manages Italian mutual funds, Italian alternative investment funds, as well as being active in the discretionary management of individual investment portfolios. Furthermore, Azimut Capital Management SGR, following the demerger by incorporation of Azimut Consulenza SIM, distributes Group and third party products in Italy via a network of financial advisors while Azimut Global Counseling provides consulting services. Overseas main operations are AZ Fund Management SA (founded in Luxembourg in 1999), which manages the multi strategy funds AZ Fund 1 and AZ Multi Asset and the Irish AZ Life DAC, which offers life insurance products. Contacts - Azimut Holding S.p.A. Investor Relations Vittorio Pracca Tel vittorio.pracca@azimut.it Corporate Communications Paola Moscatelli Tel paola.moscatelli@azimut.it Viviana Merotto Tel viviana.merotto@azimut.it

3 CONSOLIDATED RECLASSIFIED INCOME STATEMENT (Data in /000) Acquisition fees and commissions 10,247 9,826 Recurring fees 606, ,866 Variable commissions 136, ,770 Other income 8,456 7,611 Insurance revenues 48,864 38,575 Total revenues 810, ,648 Commission expense (337,456) (325,436) General overheads/administrative expenses (178,534) (158,984) Depreciation, amortisation/provisions (16,465) (15,920) Total costs (532,455) (500,340) Operating income 278, ,308 Profits from financial operations (13,057) (3,033) Net Non operating costs (8,114) (6,323) Interest expense (9,646) (11,063) Profit Before Taxation 247, ,889 Income taxation (22,854) (19,281) Deferred taxation 1,491 11,696 Net Profit 225, ,304 Minorities 11,123 4,619 Consolidated Net Profit 214, ,685 CONSOLIDATED NET FINANCIAL POSITION Data in /000 31/12/ /06/ /12/2016 Due to banks (10,000) (10,000) (20,051) Securities issued (353,816) (350,125) (226,522) Total debt (363,816) (360,125) (246,573) Cash and cash equivalents 498, , ,832 Net Financial Position 134,871 34, ,259

4 CONSOLIDATED INCOME STATEMENT (Data in /000) Commission income 774, ,633 Commission expense (311,345) (293,897) Net Commissions 462, ,736 Dividends and equivalents Interest income and equivalents 1,071 1,509 Interest expenses and equivalents (10,725) (11,723) Profit/losses from the sale of: (9,721) 1,733 a) financial assets available for sale (1,804) 1,739 b) financial liabilities (7,917) (6) Net result of financial assets and liabilities at fair value (4,421) (4,851) Insurance net premium income 3,531 2,618 Net income (loss) from financial assets at fair value entered on the P&L account 184, ,815 Change in technical provisions when the investment risk is borne by the insured parties 23,467 29,885 Surrenders and claims (172,924) (134,445) Net Margin 478, ,533 Administrative expenses (210,557) (192,513) a) personnel expenses (83,255) (72,485) b) other expenses (127,302) (120,028) Value net adjustments on tangible assets (2,414) (2,508) Value net adjustments on intangible assets (13,444) (13,655) Provisions for risks and charges (6,383) (5,844) Other administrative income and expenses 1, Gross operating profit 247, ,578 Profit (loss) on equity investments (8) (689) Profit (Loss) before tax 247, ,889 Income tax (21,363) (7,586) Net profit (Loss) 225, ,304 Minorities 11,123 4,619 Consolidated net profit (loss) 214, ,685

5 CONSOLIDATED BALANCE SHEET ASSETS (data in /000) 31/12/ /12/2016 Cash and cash equivalents Financial assets at fair value 6,700,283 6,447,427 Financial assets available for sale 286, ,963 Credits 263, ,305 Equity investments 1, Tangible assets 8,103 7,219 Intangible assets 557, ,315 Tax assets 80,219 78,976 a) current 29,560 32,905 b) prepaid 50,659 46,071 Other assets 208, ,115 Total Assets 8,106,607 7,727,276 LIABILITIES (Data in /000) 31/12/ /12/2016 Debts 20,253 28,283 Bonds issued 353, ,522 Technical provisions when the investment risk is borne 227, ,974 by the insured parties Other technical provisions Financial liabilities at fair value 6,605,461 6,299,036 Tax liabilities 68,151 59,401 a) current 6,462 1,443 b) deferred 61,689 57,958 Other liabilities 180, ,975 Employee severance indemnities 2,965 3,403 Provision for risks and charges 35,377 31,265 b) other 35,377 31,265 Capital 32,324 32,324 Treasury shares (-) (130,028) (81,288) Capital instruments 36,000 70,951 Share premium reserve 173, ,987 Reserves 279, ,107 Valuation provisions (13,542) (4,674) Profit (Loss) for the period 214, ,685 Equity attributable to minority interests 19,592 17,975 Total liabilities and shareholders equity 8,106,607 7,727,276

6 AZIMUT HOLDING SPA Income statement (Data in /000) Commission income 2,000 2,000 Net Commissions 2,000 2,000 Dividends and Equivalents 240, ,869 Interest income and equivalents Interest expenses and equivalents (10,046) (11,163) Profit/losses from the sale of: (8,926) 102 a) financial assets available for sale (1,009) 108 b) financial liabilities (7,917) (6) Net Margin 223, ,999 Administrative expenses (21,990) (19,881) a) personnel expenses (9,263) (9,022) b) other expenses (12,726) (10,858) Value net adjustments on tangible assets (326) (346) Value net adjustments on intangible assets (653) (638) Provisions for risks and charges (120) (30) Other administrative income and expenses 1,218 1,757 Gross operating profit 201, ,861 Profit (Loss) before tax 201, ,861 Income tax 7,146 2,082 Net profit (Loss) 208, ,943 Consolidated net profit (loss) 208, ,943

7 AZIMUT HOLDING SPA Balance Sheet ASSETS (Data in /000) 31/12/ /12/2016 Cash and cash equivalents 7 6 Financial assets available for sale 183, ,789 Credits 30,894 15,902 b) other 30,894 15,902 Equity investments 623, ,673 Tangible assets Intangible assets 185, ,082 Tax assets 31,206 29,337 a) current b) prepaid 31,035 28,556 Other assets 38,699 16,420 Total Assets 1,094, ,023 LIABILITIES (Data in /000) 31/12/ /12/2016 Debts 11,962 88,657 Bonds issued 353, ,522 Tax liabilities 54,393 53,921 a) current 1,180 0 b) deferred 53,212 53,921 Other liabilities 98,390 6,759 Employees severance 722 1,122 Provisions for risks and charges b) other funds Capital 32,324 32,324 Treasury shares (-) -130,028-81,288 Capital instruments 36,000 70,950 Share premium reserve 173, ,987 Reserves 253, ,104 Reserve from measurement of financial instruments Net Profit (loss) 208, ,943 Total Liabilities and net shareholders equity 1,094, ,023

8 Consolidated Cash Flow statement (Data in /000) A. OPERATING ACTIVITIES 1. Operating activities 280, ,755 - net income for the period (+/-) 214, ,685 - gains/losses on financial assets held for trading and on financial assets/liabilities valued at fair value (-/+) 28,548 (58,942) - value net adjustments on tangible and intangible assets (+/-) 15,858 16,163 - value net adjustments on provisions for risks and charges and other income/expenses (+/-) 6,383 5,844 - taxes (+) 10,443 (1,702) - other adjustments (+/-) 4, Cash flow from financial assets (295,832) (787,765) - financial assets at fair value (276,983) (730,163) - financial assets held for sale (10,609) (3,052) - receivables from banks (427) (1,225) - receivables from other financial institutions (141) 1,056 - receivables from clients (11,491) (3,716) - other assets 3,819 (50,665) 3. Cash flow from financial liabilities 379, ,055 - due to banks (10,584) (6,625) - due to other financial institutions 344 (8) - due to clients 298 (27) - securities issued 122,467 4,679 - financial liabilities at fair value 302, ,173 - technical reserves (23,467) (29,885) - other liabilities (11,250) 11,748 Total net operating cash flow generated/absorbed 364, ,045 B. INVESTMENT ACTIVITIES 1. Cash flow generated by Cash flow absorbed by (57,254) (80,593) - acquisition of equity investments (417) (821) - acquisition of tangible assets (3,298) (3,528) - acquisition of intangible assets (15,653) (16,069) - acquisition of controlled entities (37,886) (60,175) Total net cash flow generated/absorbed from investment activities (57,254) (80,593) C. FINANCING ACTIVITIES - issue/sale of treasury shares (69,713) (1,791) - other reserves 13,764 (21,564) - capital and third party reserves 1,617 7,627 - issue/sale of capital instruments (34,951) dividends paid and others (158,383) (238,599) Total net cash flow generated/absorbed from financing activities (247,666) (254,835) Total net cash flow generated/absorbed during the period 59,854 (149,383) RECONCILIATION Opening cash and cash equivalents 438, ,215 Cash flow generated/absorbed during the period 59,854 (149,383) Closing cash and cash equivalents 498, ,832